West Fife businesses on the verge of collapse due to lack of Covid support

Three small business owners told the Press that they couldn't access Holyrood grants due to a technicality whereby they need a business rates number to apply for aid.

Laura Flynn, 32, has owned Belle Beauty in Dalgety Bay for the last nine years and she says she'll run out of money to live on in three weeks' time.

A monthly payment goes out to her landlord that includes rent, business rates and all her bills, such as electricity and water.

But as she doesn't pay her business rates directly to Fife Council, she's been denied any funds from the Strategic Framework Business Fund.

"I know there are a lot of businesses in my situation and it's a nightmare," Laura said.

"At the last lockdown, I kept fighting and managed to get a payment right at the end, it's a bitter pill to swallow.

"This time, they say they made it easier to help people like me who were falling through the cracks but I'm facing exactly the same problem where I need a rates number to qualify.

"I'm finding it hard to stay afloat while I see other businesses getting handed out large grants.

"I knew another lockdown would come so I was saving while I was open again so I'm living off that but the money is going to run out.

"I would say I have another three weeks of funds and then I'll be asking family and friends for help."

Another business facing the same issue is Carousel Fitness in Inverkeithing.

Owners Kira Grant and Emma Junor rent out space at Preston House and again don't pay businesses rates directly.

"Everyone we have spoken to says we have fallen through the cracks," Kira told the Press.

"We've already had to give up one of our studios and this month we haven't paid our rent so we're anticipating that we'll get kicked out.

"I know multiple business owners that are sinking ships and then others who say they are in a better financial position than before the pandemic, simply because they pay rates directly.

"This business is something we have been working on for 10 years and it looks like we're going to have to start again and probably in debt.

"Every time I apply for a grant, I think we must get help this time! But, no, we just get knocked back every time."

Laura, along with Kira and Emma, are entitled to the self-employment grant, which is based on 80 per cent of profit, but its worked out on a three-year average and doesn't take into account what changes there may have been during that time.

The self-employment grant is also what Faith Hair & Beauty owner Roya Hashemi Nejad has been living off.

The beauty salon owner also rents space in Preston House and said: "I think I have been paid out £6,000 since March. It's not really covering anything so I had to move into my mum's house just so I could keep my business.

"These grants just do not seem to be coming down to small business owners and we are really struggling.

"I've asked politicians for help and they've told me there is nothing they can do!

"No-one is listening and I feel like I've lost everything now."

Fife Council's head of business and employability, Gordon Mole, confirmed that a new fund for close contact services was due to be delivered nationally to support those businesses affected by the pandemic.

He added: “Fife Council is working with the Scottish Government to agree guidance and further information to get much-needed support funding out to businesses. Details of all support schemes can be found on the national Findbusinesssupport.scot portal.

"We fully understand the pressures businesses are under as a result of the pandemic and, through Business Gateway Fife, are working to provide help and support during these challenging times."

Fife Chamber of Commerce boss Alan Mitchell described Holyrood's response to help businesses through the pandemic as "patchy".

He told the Press: "It has been clearly been a huge source of frustration for business owners when they can't get grants.

"I think the message for the Scottish Government is if they are looking to support businesses through COVID, clearly more funding must be found.

"Ever since the pandemic started, the whole government (including Scotland and the UK) response has been patchy and there have been consistent failures.

"There are all sorts of issues, such as the length of time funds are taking to get to accounts – there have been many challenges throughout.

"However well-meaning the Government has been, the system put in place has not been as good as it should be.

"Even 10 months later, the system could be better than it is – making it quicker and more efficient."

Mr Mitchell added: "From our perception, we don't think that the UK or Scottish Government recognise the realities of what lockdown means for businesses.

"We would be arguing for a much more comprehensive package so that businesses don't fall through the gaps."